TANDBERG Television and Arroyo Video Solutions Announce nPVR and Advertising On-Demand Solutions; Demonstrations in TANDBERG Television's Booth #3751 at the National Show, April 9-11 in Atlanta.

ATLANTA -- TANDBERG Television (OSE:TAT) and Arroyo Video Solutions, Inc. today announced cutting edge new solutions for network personal video recorder (nPVR) and on-demand advertising. These solutions, which are taking video-on-demand (VOD) to the next level, will be demonstrated at The National Cable and Telecommunications Association's (NCTA) 2006 National Show this week in Atlanta, April 9-11.

The new real-time ingest and catalog solution makes nPVR an easily deployable reality for operators of all sizes. Enhancements to TANDBERG's Xport(R) Producer encoding solution, OpenStream(R) Digital Services Platform and Arroyo's video networking software Arroyo OnDemand, will enable any operator to deploy nPVR simply and quickly. The open solution from TANDBERG Television and Arroyo eliminates the need for hard-drive based set-top boxes or PVRs in the home, and also the extensive custom developments and guide integration which have added significant time and expense to nPVR deployments. At the National Show, TANDBERG Television and Arroyo will demonstrate how this new solution will offer subscribers the ability to watch TV content in the on-demand format starting just seconds after that content begins to air.

The new advertising on-demand solution brings the same flexibility and precise targeting which have made Internet advertising such a boon to advertisers, and a wellspring of revenue for Internet portals and websites. Enhancements to TANDBERG Television's AdPoint(R) On-Demand Advertising platform, OpenStream Digital Services Platform, and Arroyo's OnDemand VOD system allow fresh ads to be dynamically placed into each VOD program, using targeting to increase the value of each ad avails and enabling operators to sell ad avails in the same program to different advertisers every time it airs.

"Now fresh ads can be inserted into VOD programs on the fly, providing new targeting and reporting capabilities to advertisers and increasing advertising revenues by enabling much more effective campaigns," said Braxton Jarratt, SVP Marketing and Business Development at TANDBERG Television Inc. "We are excited to combine our open platform solutions with Arroyo and others to provide operators with the most powerful and extensible solutions in the industry."

"TANDBERG's AdPoint is the right solution for non-linear advertising, and we're pleased to be powering this innovative product with Arroyo OnDemand, which was built from the ground up to deliver personalized television, and enable applications such as VOD advertising and nPVR," said Arroyo's VP of Marketing & Business Development David Yates. "Our combined solutions will ensure market-leading performance and non-stop availability of VOD advertising."

Yates added, "nPVR is a very attractive alternative to DVR deployment and maintenance. Using TANDBERG and Arroyo's network resident solution, service enhancements may be introduced much faster and more cost effectively - and that will have an immediate and positive impact on ARPU, churn & customer satisfaction."

About TANDBERG Television

Whether it's advanced compression systems, on-demand or interactive television, TANDBERG Television delivers the technology and expertise that is moving digital video forward. The company's award-winning solutions are used by the world's leading network operators, broadcasters and content owners to deliver new viewer experiences and advertising opportunities. With a broad suite of open, standards-based products, TANDBERG Television offers the highest quality digital TV solutions including IPTV, HDTV, video-on-demand, advertising on-demand, and interactive TV applications to customers in the Americas, Asia Pacific, Europe, Middle East and Africa. For more information, please visit http://www.tandbergtv.com.

About Arroyo Video Solutions

Arroyo creates innovative video networking software that powers the delivery of personalized television. The company's real-time networked video architecture intelligently pools and load balances industry-standard servers to deliver unlimited network scalability and non-stop service availability at the lowest total cost. Using Arroyo's networked VOD, nPVR, ad insertion and time shifting applications, operators are breaking the limits of standalone servers to deliver highly personalized, revenue-rich video services across their entire operating footprint.

Arroyo's customers consist of operators and service providers around the world, including leading U.S. cable operators Comcast, Time Warner Cable and Charter. For more information, please visit http://www.arroyo.tv.